Sony, TSMC plan new Japan joint venture for next-generation image sensors

[TAIPEI] Taiwan Semiconductor Manufacturing (TSMC) and Sony Semiconductor Solutions said on Friday (May 8) they plan to form a new joint venture (JV) in Japan to develop and manufacture next-generation image sensors.

The venture will combine Sony’s sensor-design expertise with TSMC’s manufacturing and process-technology strengths, deepening a long-standing partnership of the two companies.

It will be majority-owned by Sony, and will set up development and production lines in the Japanese company’s new fabrication plant in the city of Koshi in the Kumamoto region.

The companies said they had signed a non-binding memorandum of understanding and were discussing potential investments by the JV, subject to a definitive agreement and customary closing conditions.

The investments, along with new capital spending by Sony at its existing plant in Nagasaki, would be phased going by market demand, on the premise of support from the Japanese government, the companies added.

The partnership will also explore opportunities in physical artificial intelligence applications such as automotive and robotics, they noted.

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Sony has previously said it is open to bringing in external investment partners for its chip business, as it highlighted the necessity of investing in manufacturing.

Both companies already have a separate JV, Japan Advanced Semiconductor Manufacturing (JASM). It was set up in 2021 and majority-owned by TSMC.

JASM’s ⁠first semiconductor manufacturing facility in Japan started volume production in late 2024. REUTERS